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AP Unit 6
Student: ___________________________________________________________________________
1. In the long run monopolistically competitive firms make normal profits because they are forced tooperate at the minimum point on their average total cost curve.
True False
2. The monopolistically competitive seller maximizes profits by equating price and marginal cost.
True False
3. Monopolistically competitive firms are inefficient because they produce at a point on the rising segmentof their average cost curves.
True False
4. The demand curve of a monopolistically competitive producer is less elastic than that of a purelycompetitive producer.
True False
5. The larger the number of firms and the less the degree of product differentiation, the greater will be theelasticity of a monopolistically competitive seller's demand curve.
True False
6. The economic profits earned by monopolistically competitive sellers are zero in the long run.
True False
7. The excess capacity problem associated with monopolistic competition implies that fewer firms couldproduce the same industry output at a lower total cost.
True False
1
8. The demand curve of a monopolistically competitive firm is more elastic than that of a pure monopolist.
True False
9. The monopolistically competitive seller equates price and marginal cost in maximizing profits.
True False
10. Monopolistically competitive sellers realize economic profits in the long run because entry barriers aresignificant.
True False
11. Monopolistically competitive sellers produce efficiently because they obtain only normal profits in thelong run.
True False
12. The oligopolist's kinked-demand curve is highly elastic below and highly inelastic above the goingproduct price.
True False
13. Mutual interdependence means that oligopolistic producers rely on price competition in determiningtheir shares of the total market for their product.
True False
14. If an oligopolist's several rivals exactly match any price changes it initiates, the demand curve will beless elastic than if its price changes are ignored by its rivals.
True False
15. If three or four homogeneous oligopolists collude, the resulting price and production outcomes will besimilar to those of pure monopoly.
True False
2
16. Generally speaking, the larger the number of firms in an oligopolistic industry, the more difficult it is forthose firms to collude.
True False
17. Generally speaking, oligopolistic industries producing raw materials and semifinished goods usuallyoffer differentiated products, while oligopolists producing consumer goods usually offer standardizedproducts.
True False
18. Two industries that have the same 4-firm concentration ratio can have significantly different Herfindahlindexes.
True False
19. As it relates to oligopoly, game theory focuses on the strategic behavior of rival firms.
True False
20. The highest possible value of the Herfindahl index is 1,000.
True False
21. The market structure called "oligopoly" includes industries with one or a small number of firms.
True False
22. The U.S. breakfast cereal industry is an example of differentiated oligopoly.
True False
23. The U.S. steel industry is an example of homogeneous oligopoly.
True False
24. In the kinked demand curve model, the firm's marginal revenue curve and demand curve are identical.
True False
3
25. Homogenous oligopolists tend to advertise more than do differentiated oligopolists.
True False
26. In maximizing profit a firm will always produce that output where total revenues are at a maximum.
True False
27. In the short run a competitive firm will always choose to shut down if product price is less than thelowest attainable average total cost.
True False
28. After all long-run adjustments have been completed, a firm in a competitive industry will produce thatlevel of output where average total cost is at a minimum.
True False
29. The long-run supply curve for a decreasing-cost industry is downsloping.
True False
30. A competitive firm will produce in the short run so long as its price exceeds its average fixed cost.
True False
31. Marginal cost is a measure of the alternative goods which society forgoes in using resources to producean additional unit of some specific product.
True False
32. Price and marginal revenue are identical for an individual purely competitive seller.
True False
33. Because the equilibrium position of a purely competitive seller entails an equality of price and marginalcosts, competition produces up to an efficient allocation of economic resources.
True False
4
34. The short-run supply curve slopes upward because producers must be compensated for rising marginalcosts.
True False
35. The demand curve for a purely competitive industry is perfectly elastic, but the demand curves faced byindividual firms in such an industry are downsloping.
True False
36. The total revenue curve of a competitive seller graphs as a straight, upsloping line.
True False
37. Marginal revenue is the addition to total revenue resulting from the sale of one more unit of output.
True False
38. Refer to the above diagram. This firm will maximize profits by producing output D.
True False
39. Refer to the above diagram. At the profit-maximizing output total revenue will be 0GLD.
True False
40. Refer to the above diagram. At output C production will result in an economic profit.
True False
5
41. Refer to the above diagram. At output C total variable cost is FGKJ.
True False
42. Refer to the above diagram. At output C average fixed cost is GF.
True False
43. Refer to the above diagram. At any price below R the firm will shut down in the short run.
True False
44. Refer to the above diagram. If demand fell to the level of FNJ, there would be no output at which thefirm could realize an economic profit.
True False
45. Refer to the above diagram. If the firm produced D units of output at price G, it would earn a normalprofit.
True False
46. Refer to the above diagram. Total costs are minimized at output level B.
True False
47. Although individual purely competitive firms can influence the price of their product, these firms as agroup cannot influence market price.
True False
48. In a purely competitive industry competition centers more on advertising and sales promotion than onprice.
True False
49. In the long run a pure monopolist must produce at that output where average total cost is at a minimum.
True False
6
50. A pure monopolist will maximize profits by producing at that output where price and marginal cost areequal.
True False
51. In the short run a pure monopolist will maximize profits by producing at that level of output where thedifference between price and average total cost is at a maximum.
True False
52. In the short run a pure monopolist will charge the highest price the market will bear for its product.
True False
53. Pure monopolists always earn economic profits.
True False
54. If the XYZ Company can sell 4 units per week at $10 per unit and 5 units per week at $9 per unit, themarginal revenue of the fifth unit is $5.
True False
55. Because of their large-scale level of production, pure monopolists overallocate resources to theirindustry by producing beyond the P = MC output.
True False
56. Because of the ability to influence price, a pure monopolist can increase price and increase volume ofsales simultaneously.
True False
7
57. Refer to the above diagram for a nondiscriminating monopolist. The profit-maximizing output for thisfirm is M.
True False
58. Refer to the above diagram for a nondiscriminating monopolist. At the profit-maximizing output thefirm's economic profit will be BAFG.
True False
59. Refer to the above diagram for a nondiscriminating monopolist. At output R economic profits will bezero.
True False
60. Refer to the above diagram for a nondiscriminating monopolist. At output Q production will beunprofitable.
True False
61. Refer to the above diagram for a nondiscriminating monopolist. The profit-maximizing price for thisfirm is J.
True False
62. Refer to the above diagram for a nondiscriminating monopolist. At output M total variable cost will be0CHM.
True False
8
63. Refer to the above diagram for a nondiscriminating monopolist. From society's point of view it would bedesirable to have the monopolist produce a larger output than M.
True False
64. Refer to the above diagram for a nondiscriminating monopolist. At output Q average variable cost is QJ.
True False
65. Refer to the above diagrams. Both firms are selling their products in purely competitive markets.
True False
66. Refer to the above diagrams. The demand for Firm A's product is perfectly elastic.
True False
67. Refer to the above diagrams. The demand for Firm B's product is elastic at all prices in excess of $4.
True False
68. Refer to the above diagrams. Firm B's average revenue curve coincides with its marginal revenue curve.
True False
69. Refer to the above diagrams. The demand for Firm B's product is inelastic at all prices below $4.
True False
9
70. Refer to the above diagrams. If drawn, Firm A's average revenue curve would lie below its demandcurve.
True False
71. Natural monopoly may result where products produce substantial network effects and can besimultaneously consumed by a large number of consumers.
True False
72. Extensive network effects may drive a market toward natural monopoly because consumers tend tochoose a common, standard product that everyone else is using.
True False
73. Price discrimination occurs every time a firm sells a good for two different prices.
True False
74. Price discrimination will result in consumers with more elastic demand purchasing more of the goodthan when a single price is charged to all consumers in the market.
True False
75. Successful price discrimination requires that buyers charged the different prices be physically separated.
True False
76. Price discrimination is illegal in the United States under antitrust regulations.
True False
10
AP Unit 6 Key
1. In the long run monopolistically competitive firms make normal profits because they are forced tooperate at the minimum point on their average total cost curve.
FALSE
Economics Page: 448Learning Objective: 23-2
McConnell - Chapter 023 #234Microeconomics Page: 214
Type: Application of Concept
2. The monopolistically competitive seller maximizes profits by equating price and marginal cost.
FALSE
Economics Page: 448Learning Objective: 23-1
McConnell - Chapter 023 #235Microeconomics Page: 214
Type: Application of Concept
3. Monopolistically competitive firms are inefficient because they produce at a point on the risingsegment of their average cost curves.
FALSE
Economics Page: 449Learning Objective: 23-1
McConnell - Chapter 023 #236Microeconomics Page: 215
Type: Application of Concept
4. The demand curve of a monopolistically competitive producer is less elastic than that of a purelycompetitive producer.
TRUE
Economics Page: 446-448Learning Objective: 23-1
McConnell - Chapter 023 #237Microeconomics Page: 212-214
Type: Application of Concept
1
5. The larger the number of firms and the less the degree of product differentiation, the greater will bethe elasticity of a monopolistically competitive seller's demand curve.
TRUE
Economics Page: 448Learning Objective: 23-1
McConnell - Chapter 023 #238Microeconomics Page: 214
Type: Definition
6. The economic profits earned by monopolistically competitive sellers are zero in the long run.
TRUE
Economics Page: 448Learning Objective: 23-2
McConnell - Chapter 023 #239Microeconomics Page: 214
Type: Application of Concept
7. The excess capacity problem associated with monopolistic competition implies that fewer firms couldproduce the same industry output at a lower total cost.
TRUE
Economics Page: 449Learning Objective: 23-1
McConnell - Chapter 023 #240Microeconomics Page: 215
Type: Application of Concept
8. The demand curve of a monopolistically competitive firm is more elastic than that of a puremonopolist.
TRUE
Economics Page: 448Learning Objective: 23-1
McConnell - Chapter 023 #241Microeconomics Page: 214
Type: Application of Concept
9. The monopolistically competitive seller equates price and marginal cost in maximizing profits.
FALSE
Economics Page: 448Learning Objective: 23-1
McConnell - Chapter 023 #242Microeconomics Page: 214
Type: Application of Concept
2
10. Monopolistically competitive sellers realize economic profits in the long run because entry barriersare significant.
FALSE
Economics Page: 448Learning Objective: 23-2
McConnell - Chapter 023 #243Microeconomics Page: 214
Type: Application of Concept
11. Monopolistically competitive sellers produce efficiently because they obtain only normal profits inthe long run.
FALSE
Economics Page: 448-449Learning Objective: 23-2
McConnell - Chapter 023 #244Microeconomics Page: 214-215
Type: Application of Concept
12. The oligopolist's kinked-demand curve is highly elastic below and highly inelastic above the goingproduct price.
FALSE
Economics Page: 455Learning Objective: 23-5
McConnell - Chapter 023 #245Microeconomics Page: 221
Type: Application of Concept
13. Mutual interdependence means that oligopolistic producers rely on price competition in determiningtheir shares of the total market for their product.
FALSE
Economics Page: 451Learning Objective: 23-3
McConnell - Chapter 023 #246Microeconomics Page: 217
Type: Application of Concept
3
14. If an oligopolist's several rivals exactly match any price changes it initiates, the demand curve will beless elastic than if its price changes are ignored by its rivals.
TRUE
Economics Page: 455Learning Objective: 23-5
McConnell - Chapter 023 #247Microeconomics Page: 221
Type: Definition
15. If three or four homogeneous oligopolists collude, the resulting price and production outcomes willbe similar to those of pure monopoly.
TRUE
Economics Page: 458Learning Objective: 23-6
McConnell - Chapter 023 #248Microeconomics Page: 224
Type: Application of Concept
16. Generally speaking, the larger the number of firms in an oligopolistic industry, the more difficult it isfor those firms to collude.
TRUE
Economics Page: 459Learning Objective: 23-6
McConnell - Chapter 023 #249Microeconomics Page: 225
Type: Application of Concept
17. Generally speaking, oligopolistic industries producing raw materials and semifinished goods usuallyoffer differentiated products, while oligopolists producing consumer goods usually offer standardizedproducts.
FALSE
Economics Page: 451Learning Objective: 23-3
McConnell - Chapter 023 #250Microeconomics Page: 217
Type: Application of Concept
4
18. Two industries that have the same 4-firm concentration ratio can have significantly differentHerfindahl indexes.
TRUE
Economics Page: 452-453Learning Objective: 23-3
McConnell - Chapter 023 #251Microeconomics Page: 218-219
Type: Complex Analysis
19. As it relates to oligopoly, game theory focuses on the strategic behavior of rival firms.
TRUE
Economics Page: 453Learning Objective: 23-4
McConnell - Chapter 023 #252Microeconomics Page: 219
Type: Fact
20. The highest possible value of the Herfindahl index is 1,000.
FALSE
Economics Page: 453Learning Objective: 23-3
McConnell - Chapter 023 #253Microeconomics Page: 219
Type: Fact
21. The market structure called "oligopoly" includes industries with one or a small number of firms.
FALSE
Economics Page: 451Learning Objective: 23-3
McConnell - Chapter 023 #254Microeconomics Page: 217
Type: Definition
22. The U.S. breakfast cereal industry is an example of differentiated oligopoly.
TRUE
Economics Page: 451Learning Objective: 23-3
McConnell - Chapter 023 #255Microeconomics Page: 217
Type: Fact
5
23. The U.S. steel industry is an example of homogeneous oligopoly.
TRUE
Economics Page: 451Learning Objective: 23-3
McConnell - Chapter 023 #256Microeconomics Page: 217
Type: Fact
24. In the kinked demand curve model, the firm's marginal revenue curve and demand curve areidentical.
FALSE
Economics Page: 456Learning Objective: 23-5
McConnell - Chapter 023 #257Microeconomics Page: 222
Type: Fact
25. Homogenous oligopolists tend to advertise more than do differentiated oligopolists.
FALSE
Economics Page: 451Learning Objective: 23-3
McConnell - Chapter 023 #258Microeconomics Page: 217
Type: Fact
26. In maximizing profit a firm will always produce that output where total revenues are at a maximum.
FALSE
Economics Page: 404Learning Objective: 21-3
McConnell - Chapter 021 #217Microeconomics Page: 170
Type: Application of Concept
27. In the short run a competitive firm will always choose to shut down if product price is less than thelowest attainable average total cost.
FALSE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #218Microeconomics Page: 173
Type: Application of Concept
6
28. After all long-run adjustments have been completed, a firm in a competitive industry will producethat level of output where average total cost is at a minimum.
TRUE
Economics Page: 417Learning Objective: 21-5
McConnell - Chapter 021 #219Microeconomics Page: 183
Type: Application of Concept
29. The long-run supply curve for a decreasing-cost industry is downsloping.
TRUE
Economics Page: 416Learning Objective: 21-6
McConnell - Chapter 021 #220Microeconomics Page: 182
Type: Application of Concept
30. A competitive firm will produce in the short run so long as its price exceeds its average fixed cost.
FALSE
Economics Page: 413Learning Objective: 21-3
McConnell - Chapter 021 #221Microeconomics Page: 179
Type: Application of Concept
31. Marginal cost is a measure of the alternative goods which society forgoes in using resources toproduce an additional unit of some specific product.
TRUE
Economics Page: 418Learning Objective: 21-4
McConnell - Chapter 021 #222Microeconomics Page: 184
Type: Application of Concept
32. Price and marginal revenue are identical for an individual purely competitive seller.
TRUE
Economics Page: 401Learning Objective: 21-2
McConnell - Chapter 021 #223Microeconomics Page: 167
Type: Application of Concept
7
33. Because the equilibrium position of a purely competitive seller entails an equality of price andmarginal costs, competition produces up to an efficient allocation of economic resources.
TRUE
Economics Page: 418Learning Objective: 21-5
McConnell - Chapter 021 #224Microeconomics Page: 184
Type: Application of Concept
34. The short-run supply curve slopes upward because producers must be compensated for risingmarginal costs.
TRUE
Economics Page: 411Learning Objective: 21-4
McConnell - Chapter 021 #225Microeconomics Page: 177
Type: Application of Concept
35. The demand curve for a purely competitive industry is perfectly elastic, but the demand curves facedby individual firms in such an industry are downsloping.
FALSE
Economics Page: 401Learning Objective: 21-2
McConnell - Chapter 021 #226Microeconomics Page: 167
Type: Application of Concept
36. The total revenue curve of a competitive seller graphs as a straight, upsloping line.
TRUE
Economics Page: 402Learning Objective: 21-3
McConnell - Chapter 021 #227Microeconomics Page: 168
Type: Application of Concept
37. Marginal revenue is the addition to total revenue resulting from the sale of one more unit of output.
TRUE
Economics Page: 401Learning Objective: 21-3
McConnell - Chapter 021 #228Microeconomics Page: 167
Type: Definition
8
McConnell - Chapter 021
38. Refer to the above diagram. This firm will maximize profits by producing output D.
FALSE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #229Microeconomics Page: 173
Type: Graphical
39. Refer to the above diagram. At the profit-maximizing output total revenue will be 0GLD.
FALSE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #230Microeconomics Page: 173
Type: Graphical
40. Refer to the above diagram. At output C production will result in an economic profit.
TRUE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #231Microeconomics Page: 173
Type: Graphical
9
41. Refer to the above diagram. At output C total variable cost is FGKJ.
FALSE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #232Microeconomics Page: 173
Type: Graphical
42. Refer to the above diagram. At output C average fixed cost is GF.
FALSE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #233Microeconomics Page: 173
Type: Graphical
43. Refer to the above diagram. At any price below R the firm will shut down in the short run.
TRUE
Economics Page: 409Learning Objective: 21-3
McConnell - Chapter 021 #234Microeconomics Page: 175
Type: Graphical
44. Refer to the above diagram. If demand fell to the level of FNJ, there would be no output at which thefirm could realize an economic profit.
FALSE
Economics Page: 407Learning Objective: 21-3
McConnell - Chapter 021 #235Microeconomics Page: 173
Type: Graphical
45. Refer to the above diagram. If the firm produced D units of output at price G, it would earn a normalprofit.
TRUE
Economics Page: 403Learning Objective: 21-3
McConnell - Chapter 021 #236Microeconomics Page: 169
Type: Graphical
10
46. Refer to the above diagram. Total costs are minimized at output level B.
FALSE
Economics Page: 417McConnell - Chapter 021 #237
Microeconomics Page: 183Type: Graphical
47. Although individual purely competitive firms can influence the price of their product, these firms as agroup cannot influence market price.
FALSE
Economics Page: 401Learning Objective: 21-2
McConnell - Chapter 021 #238Microeconomics Page: 167
Type: Application of Concept
48. In a purely competitive industry competition centers more on advertising and sales promotion than onprice.
TRUE
Answer: FalseEconomics Page: 401
Learning Objective: 21-2McConnell - Chapter 021 #239
Microeconomics Page: 167Type: Application of Concept
49. In the long run a pure monopolist must produce at that output where average total cost is at aminimum.
FALSE
Economics Page: 431Learning Objective: 22-2
McConnell - Chapter 022 #185Microeconomics Page: 197
Type: Application of Concept
11
50. A pure monopolist will maximize profits by producing at that output where price and marginal costare equal.
FALSE
Economics Page: 429Learning Objective: 22-2
McConnell - Chapter 022 #186Microeconomics Page: 195
Type: Application of Concept
51. In the short run a pure monopolist will maximize profits by producing at that level of output wherethe difference between price and average total cost is at a maximum.
FALSE
Economics Page: 429Learning Objective: 22-2
McConnell - Chapter 022 #187Microeconomics Page: 195
Type: Application of Concept
52. In the short run a pure monopolist will charge the highest price the market will bear for its product.
FALSE
Economics Page: 431Learning Objective: 22-2
McConnell - Chapter 022 #188Microeconomics Page: 197
Type: Application of Concept
53. Pure monopolists always earn economic profits.
FALSE
Economics Page: 431Learning Objective: 22-2
McConnell - Chapter 022 #189Microeconomics Page: 197
Type: Application of Concept
54. If the XYZ Company can sell 4 units per week at $10 per unit and 5 units per week at $9 per unit, themarginal revenue of the fifth unit is $5.
TRUE
Economics Page: 427Learning Objective: 22-2
McConnell - Chapter 022 #190Microeconomics Page: 193
Type: Application of Concept
12
55. Because of their large-scale level of production, pure monopolists overallocate resources to theirindustry by producing beyond the P = MC output.
FALSE
Economics Page: 432Learning Objective: 22-3
McConnell - Chapter 022 #191Microeconomics Page: 198
Type: Application of Concept
56. Because of the ability to influence price, a pure monopolist can increase price and increase volume ofsales simultaneously.
FALSE
Economics Page: 431Learning Objective: 22-3
McConnell - Chapter 022 #192Microeconomics Page: 197
Type: Application of Concept
McConnell - Chapter 022
57. Refer to the above diagram for a nondiscriminating monopolist. The profit-maximizing output forthis firm is M.
TRUE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #193Microeconomics Page: 196
Type: Application of Concept
13
58. Refer to the above diagram for a nondiscriminating monopolist. At the profit-maximizing output thefirm's economic profit will be BAFG.
TRUE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #194Microeconomics Page: 196
Type: Graphical
59. Refer to the above diagram for a nondiscriminating monopolist. At output R economic profits will bezero.
TRUE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #195Microeconomics Page: 196
Type: Graphical
60. Refer to the above diagram for a nondiscriminating monopolist. At output Q production will beunprofitable.
FALSE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #196Microeconomics Page: 196
Type: Graphical
61. Refer to the above diagram for a nondiscriminating monopolist. The profit-maximizing price for thisfirm is J.
FALSE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #197Microeconomics Page: 196
Type: Graphical
14
62. Refer to the above diagram for a nondiscriminating monopolist. At output M total variable cost willbe 0CHM.
FALSE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #198Microeconomics Page: 196
Type: Graphical
63. Refer to the above diagram for a nondiscriminating monopolist. From society's point of view it wouldbe desirable to have the monopolist produce a larger output than M.
TRUE
Economics Page: 430Learning Objective: 22-3
McConnell - Chapter 022 #199Microeconomics Page: 196
Type: Graphical
64. Refer to the above diagram for a nondiscriminating monopolist. At output Q average variable cost isQJ.
FALSE
Economics Page: 430Learning Objective: 22-2
McConnell - Chapter 022 #200Microeconomics Page: 196
Type: Graphical
McConnell - Chapter 022
15
65. Refer to the above diagrams. Both firms are selling their products in purely competitive markets.
FALSE
Economics Page: 428Learning Objective: 22-1
McConnell - Chapter 022 #201Microeconomics Page: 194
Type: Graphical
66. Refer to the above diagrams. The demand for Firm A's product is perfectly elastic.
TRUE
Economics Page: 402Learning Objective: 22-1
McConnell - Chapter 022 #202Microeconomics Page: 168
Type: Graphical
67. Refer to the above diagrams. The demand for Firm B's product is elastic at all prices in excess of $4.
TRUE
Economics Page: 428Learning Objective: 22-2
McConnell - Chapter 022 #203Microeconomics Page: 194
Type: Graphical
68. Refer to the above diagrams. Firm B's average revenue curve coincides with its marginal revenuecurve.
FALSE
Economics Page: 428Learning Objective: 22-1
McConnell - Chapter 022 #204Microeconomics Page: 194
Type: Graphical
69. Refer to the above diagrams. The demand for Firm B's product is inelastic at all prices below $4.
TRUE
Economics Page: 428Learning Objective: 22-1
McConnell - Chapter 022 #205Microeconomics Page: 194
Type: Graphical
16
70. Refer to the above diagrams. If drawn, Firm A's average revenue curve would lie below its demandcurve.
FALSE
Economics Page: 428Learning Objective: 22-1
McConnell - Chapter 022 #206Microeconomics Page: 194
Type: Graphical
71. Natural monopoly may result where products produce substantial network effects and can besimultaneously consumed by a large number of consumers.
TRUE
Economics Page: 434Learning Objective: 22-3
McConnell - Chapter 022 #207Microeconomics Page: 200
Type: Fact
72. Extensive network effects may drive a market toward natural monopoly because consumers tend tochoose a common, standard product that everyone else is using.
TRUE
Economics Page: 434Learning Objective: 22-3
McConnell - Chapter 022 #208Microeconomics Page: 200
Type: Fact
73. Price discrimination occurs every time a firm sells a good for two different prices.
FALSE
Economics Page: 436Learning Objective: 22-4
McConnell - Chapter 022 #209Microeconomics Page: 202
Status: NewType: Definition
17
74. Price discrimination will result in consumers with more elastic demand purchasing more of the goodthan when a single price is charged to all consumers in the market.
TRUE
Economics Page: 438Learning Objective: 22-4
McConnell - Chapter 022 #210Microeconomics Page: 204
Status: NewType: Application of Concept
75. Successful price discrimination requires that buyers charged the different prices be physicallyseparated.
FALSE
Economics Page: 437Learning Objective: 22-4
McConnell - Chapter 022 #211Microeconomics Page: 203
Status: NewType: Application of Concept
76. Price discrimination is illegal in the United States under antitrust regulations.
FALSE
Economics Page: 438Learning Objective: 22-4
McConnell - Chapter 022 #212Microeconomics Page: 204
Status: NewType: Fact
18
AP Unit 6 Summary
Category # ofQuestions
Answer: False 1
Economics Page: 401 5
Economics Page: 402 2
Economics Page: 403 1
Economics Page: 404 1
Economics Page: 407 7
Economics Page: 409 1
Economics Page: 411 1
Economics Page: 413 1
Economics Page: 416 1
Economics Page: 417 2
Economics Page: 418 2
Economics Page: 427 1
Economics Page: 428 5
Economics Page: 429 2
Economics Page: 430 8
Economics Page: 431 4
Economics Page: 432 1
Economics Page: 434 2
Economics Page: 436 1
Economics Page: 437 1
Economics Page: 438 2
Economics Page: 446-448 1
Economics Page: 448 7
Economics Page: 448-449 1
Economics Page: 449 2
Economics Page: 451 6
Economics Page: 452-453 1
Economics Page: 453 2
Economics Page: 455 2
Economics Page: 456 1
Economics Page: 458 1
Economics Page: 459 1
Learning Objective: 21-2 4
1
Learning Objective: 21-3 13
Learning Objective: 21-4 2
Learning Objective: 21-5 2
Learning Objective: 21-6 1
Learning Objective: 22-1 5
Learning Objective: 22-2 14
Learning Objective: 22-3 5
Learning Objective: 22-4 4
Learning Objective: 23-1 7
Learning Objective: 23-2 4
Learning Objective: 23-3 8
Learning Objective: 23-4 1
Learning Objective: 23-5 3
Learning Objective: 23-6 2
McConnell - Chapter 021 24
McConnell - Chapter 022 30
McConnell - Chapter 023 25
Microeconomics Page: 167 5
Microeconomics Page: 168 2
Microeconomics Page: 169 1
Microeconomics Page: 170 1
Microeconomics Page: 173 7
Microeconomics Page: 175 1
Microeconomics Page: 177 1
Microeconomics Page: 179 1
Microeconomics Page: 182 1
Microeconomics Page: 183 2
Microeconomics Page: 184 2
Microeconomics Page: 193 1
Microeconomics Page: 194 5
Microeconomics Page: 195 2
Microeconomics Page: 196 8
Microeconomics Page: 197 4
Microeconomics Page: 198 1
Microeconomics Page: 200 2
Microeconomics Page: 202 1
Microeconomics Page: 203 1
Microeconomics Page: 204 2
Microeconomics Page: 212-214 1
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Microeconomics Page: 214-215 1
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Microeconomics Page: 215 2
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Microeconomics Page: 218-219 1
Microeconomics Page: 219 2
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Microeconomics Page: 225 1
Status: New 4
Type: Application of Concept 39
Type: Complex Analysis 1
Type: Definition 5
Type: Fact 9
Type: Graphical 22
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